Suppose that cash flows of a project are given as follows:

Year 0 : Costs: $150,000.

Year 1 : Costs: $20,000. Savings: $70,000.

Year 2 : Costs: $20,000. Savings: $70,000.

Year 3 : Costs: $20,000. Savings: $80,000.

Year 4 : Costs: $20,000. Savings: $80,000.

It is known that MARR is 10% and all cash flows occur at the end of the year, what is the projects Payback Period?

		1 Year
		2 Years
		3 Years
		4 Years
		This project does not pay back.